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Consumer Price Index, San Diego Area – July 2019

Area prices were down 0.3 percent over the past two months, up 1.4 percent from a year ago

Prices in the San Diego area, as measured by the Consumer Price Index for All Urban Consumers (CPI-U), declined 0.3 percent for the two months ending in July 2019, the U.S. Bureau of Labor Statistics reported today. (See table A.) Assistant Commissioner for Regional Operations Richard J. Holden noted that the July decrease was influenced by lower prices for gasoline, food, and recreation. (Data in this report are not seasonally adjusted. Accordingly, bi-monthly changes may reflect seasonal influences.)

Over the last 12 months, the CPI-U rose 1.4 percent. (See chart 1 and table A.) Energy prices increased 1.3 percent, largely the result of an increase in the price of gasoline. The index for all items less food and energy advanced 1.4 percent over the year. (See table 1.)

Food

Food prices declined 1.0 percent for the two months ending in July. (See table 1.) Prices for food at home decreased 1.3 percent, and prices for food away from home declined 0.7 percent for the same period.

Over the year, food prices advanced 1.3 percent. Prices for food away from home advanced 2.4 percent since a year ago, and prices for food at home increased 0.5 percent.

Energy

The energy index increased 0.3 percent for the two months ending in July. The increase was mainly due to higher prices for electricity (13.5 percent). Prices for natural gas service increased 3.4 percent, but prices for gasoline decreased 5.4 percent over the past two months.

All items less food and energy

The index for all items less food and energy decreased 0.3 percent in the latest two-month period. Lower prices for recreation (-2.0 percent) and household furnishings and operations (-1.4 percent) were partially offset by higher prices for apparel (2.6 percent) and new and used motor vehicles (1.6 percent).

Over the year, the index for all items less food and energy advanced 1.4 percent. Components contributing to the increase included shelter (3.3 percent) and household furnishings and operations (3.3 percent). Partly offsetting the increases were price declines in apparel (-14.6 percent), alcoholic beverages (-5.2 percent), and recreation (-1.5 percent).

The September 2019 Consumer Price Index for the San Diego area is scheduled to be released on October 10, 2019.

Consumer Price Index Geographic Revision for 2018

In January 2018, BLS introduced a new geographic area sample for the Consumer Price Index (CPI). This index changed to a bimonthly publication schedule beginning in January, 2018. The first indexes using the new structure were published in February 2018. Additional information on the geographic revision is available at: www.bls.gov/cpi/additional-resources/geographic-revision-2018.htm.

Technical Note

The Consumer Price Index (CPI) is a measure of the average change in prices over time in a fixed market basket of goods and services. The Bureau of Labor Statistics publishes CPIs for two population groups: (1) a CPI for All Urban Consumers (CPI-U) which covers approximately 89 percent of the total population and (2) a CPI for Urban Wage Earners and Clerical Workers (CPI-W) which covers 28 percent of the total population. The CPI-U includes, in addition to wage earners and clerical workers, groups such as professional, managerial, and technical workers, the self-employed, short-term workers, the unemployed, and retirees and others not in the labor force.

The CPI is based on prices of food, clothing, shelter, and fuels, transportation fares, charges for doctors' and dentists' services, drugs, and the other goods and services that people buy for day-to-day living. Each month, prices are collected in 87 urban areas across the country from about 6,000 housing units and approximately 24,000 retail establishments--department stores, supermarkets, hospitals, filling stations, and other types of stores and service establishments. All taxes directly associated with the purchase and use of items are included in the index.

The index measures price changes from a designated reference date (1982-84) that equals 100.0. An increase of 16.5 percent, for example, is shown as 116.5. This change can also be expressed in dollars as follows: the price of a base period "market basket" of goods and services in the CPI has risen from $10 in 1982-84 to $11.65. For further details see the CPI home page on the Internet at www.bls.gov/cpi and the BLS Handbook of Methods, Chapter 17, The Consumer Price Index, available on the Internet at www.bls.gov/opub/hom/homch17_a.htm.

In calculating the index, price changes for the various items in each location are averaged together with weights that represent their importance in the spending of the appropriate population group. Local data are then combined to obtain a U.S. city average. Because the sample size of a local area is smaller, the local area index is subject to substantially more sampling and other measurement error than the national index. In addition, local indexes are not adjusted for seasonal influences. As a result, local area indexes show greater volatility than the national index, although their long-term trends are quite similar. NOTE:Area indexes do not measure differences in the level of prices between cities; they only measure the average change in prices for each area since the base period.

The San Diego-Carlsbad, CA metropolitan area covered in this release consists of San Diego County in the State of California.

Information in this release will be made available to sensory impaired individuals upon request. Voice phone: (202) 691-5200; Federal Relay Service: (800) 877-8339.

Footnotes​(1) Indexes on a November 1977=100 base.​(2) Indexes on a November 1982=100 base.​(3) Indexes on a December 1997=100 base.​(4) Special index based on a substantially smaller sample.​(5) Indexes on a December 1993=100 base.

- Data not available NOTE: Index applies to a month as a whole, not to any specific date.